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The best ISA and savings accounts this week

Rebecca Goodman
Written By:
Rebecca Goodman

A rate increase this week sees Virgin Money’s one-year fixed rate cash ISA paying out 5.85% and at the top of the tables for fixed-rate cash ISAs.

But it’s not the only provider offering these rates as Shawbrook Bank follows just behind with it’s account paying 5.83%.

Across the standard savings charts, there are also plenty of options with the top account paying an impressive 6.20% from National Savings and Investments (NS&I), the Government’s savings arm.

A further hike to the base rate is predicted for next week which could see savings rates increase higher. Yet most experts think rates are about to peak so there may not be much wiggle room left for further hikes.

Here we look at all of this week’s best savings and ISA rates, with data from Moneyfacts.

This week’s best savings rates

NS&I tops the tables for the one-year charts and its Guaranteed Growth Bonds Issue 72 can be opened with £500 online. You can choose from monthly or annual interest with this one.

The next-best one-year fixed account is the Union Bank of India (UK) Ltd Fixed Rate Deposit account paying 6.11% on a minimum of £1,000.

Rates don’t get better if you fix for longer and the market leader in the two-year market is the Ford Money Fixed Saver 2 Year account paying 6.05% on a minimum of £500.

If you need easy-access to your money, you can still get a good interest rate too. The market-leader is the Paragon Bank Double Access Savings Account – Issue 2 paying 5.05% on a minimum of £1,000 but the rate will drop after two withdrawals.

There are no withdrawal restrictions on the Kent Reliance Easy Access Account – Issue 65 however, paying 5.01% on a minimum of £1,000.

The best easy-access cash ISAs

Top of the charts this week is the Moneybox Cash ISA paying 4.75% on a minimum of £500, although the rate drops after 12 months as it includes a 0.85% 12-month bonus.

Interest can be compounded or paid away and it can be opened and managed via the Moneybox app.

The next-best accounts are the following:

  1. Paragon Bank’s Double Access Cash ISA – Issue 1: paying 4.70% on a minimum of £1,000. This account can be opened online but the rate will drop after two withdrawals.
  2. Skipton BS’s Cash ISA Tracker Issue 5: also paying 4.70%, this account from Skipton BS can be opened with £1 online, in a branch, by phone or by post.
  3. Cynergy Bank’s Online ISA (Issue 42): again, also paying 4.70% you can open this account with £1 and it can be opened and managed online.

The best fixed-rate cash ISAs

Virgin Money is top in the one-year fixed-rate ISA charts this week with the Virgin Money 1 Year Fixed Rate Cash ISA Exclusive Issue 6. It pays 5.85% and has no minimum investment however there is a catch.

It’s an exclusive account and only available to Virgin Money customers. This is defined as new and existing Virgin Money current account customers from 4 December 2019 or existing customers that originally opened a Clydesdale Bank, Yorkshire Bank or B current account.

The next-best are the following:

  1. Shawbrook Bank’s 1 Year Fixed Rate Cash ISA Bond Issue 81: paying 5.83%, you can open this account with £1,000 online and it can also be managed online or by phone. Earlier access is allowed but is subject to 90 days loss of interest.
  2. Close Brothers Savings’s 1 Year Fixed Rate Cash ISA: paying 5.78%, this account has a high minimum investment of £10,000 and can be opened online or by post. Earlier access is allowed on closure of the account and is subject to 90 days loss of interest.
  3. Kent Reliance’s Cash ISA 1 Year Fixed Rate – Issue 80: also paying 5.78%, you can open this account with £1,000 and early access will result in a 90-day loss of interest penalty.

The best notice ISAs

If you’re looking for flexibility, a notice ISA could be your best bet.

The Aldermore 30 Day Notice Cash ISA Issue 12 pays 4.25% on a minimum of £1,000 and can be opened and managed online. If you put your money away for slightly longer, the Stafford Railway BS Cash ISA 60 Day Notice Account pays 4.50% on a minimum of £100.